What I am blogging about is the parity of the Cdn.$ and US Dollar is it good or bad. To our mind it is a very good thing will mean cheaper expensive goods down the way for Christmas. It is a pain for the companys who quote in US $ to get business and then find the cost of doing business is that much harder on them. Our Fiance minister says- "It will help make our Manufacturing that much more efficient".
I think He, maybe blowing smoke out his budget shoes.
We are planning on trying to cash in on the American Dollar decline by buying a chunk of it once it gets beyond parity. As a few years ago we had a 60 cent dollar so buying and selling on Ebay in US $'s made money. It makes no sense to try to sell on Ebay at this juncture as it would ultimately cost us. It is the same for the small business community here in Canada. The US is our biggest trading partner and when the greenback is down so are the imports from Canada.
The banks take 2% off the top when you purchase so we would have to be in the $1.02 CDN. and above to make the move and transfer it into our very modest American Dollar account. I checked a week ago $1,000 CDN would then buy $940.00 US and today $965.00 US. I imagine that it would be a very tight window of opportunity to take advantage of the exchange rate.
The Cdn Government likes the Loonie high so when it pays down the debt it is using less of the budget to do so. So it has more money to spread around in troubled ridings. I should have listened to Mermaid years ago about buying gold , she is quite right in her hunches. I am listening now
Thursday, March 18, 2010
Posted by The Old Tarf at 8:59 AM